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Ultimate Guide to Amazon OTT Advertising

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Table of Contents

Amazon OTT advertising is a term used to describe the delivery of video content over the internet without a traditional cable or satellite subscription. Amazon OTT advertising is a type of amazon online marketing and advertising that allows you to advertise on Amazon. It’s also known as “over-the-top” advertising because it occurs through streaming media rather than on traditional TV or radio.

OTT advertising is a large and growing market, with reports estimating that $14 billion will be spent on OTT ads in 2020 alone. While traditional TV viewership is decreasing, streaming audiences are becoming more and more popular, and OTT advertising makes it possible for companies to get their message across to these streaming audiences in a way that’s relevant and useful. With OTT ad campaigns, advertisers can better target viewers based on what they’re watching, when they’re watching it, and who’s in the room with them.

With Amazon OTT advertising, brands can leverage third-party data to gain insights into consumer behavior and preferences that inform ad strategy. This means that you can make sure your content is reaching the right people at the right time and with the right message. This translates into more effective marketing.

What Makes OTT Advertising Different?

The first thing to understand about OTT advertising is that it’s unique. Traditional forms of video advertising rely on interruptive methods like pre-rolls or mid-rolls, but OTT ads are native to the content they’re placed within—they don’t interrupt what you’re watching at all. They look like organic elements of the show or movie itself, so they don’t feel intrusive or distracting at all.

How does Amazon OTT Advertising work?

Amazon OTT Advertising is a type of advertising that Amazon offers to businesses on their platform. It is a way for sellers to reach potential customers who are browsing on Amazon sites, either on their desktop or laptop computers or on mobile devices and tablets.

By using a tool like Amazon product advertising API, it’s easy to set up your ads and manage them from your own dashboard, rather than having to update them directly on the Amazon site. This type of advertising is beneficial because it allows you to reach audiences that might not otherwise know about your products and services but who might be interested in them.

Here are three things you should know about how Amazon OTT Advertising works:

  • Amazon offers a product called OTT (over-the-top) advertising. It is an ad format that allows advertisers to place ads in front of users when they’re browsing the internet or watching streaming videos.
  • The ad appears above the top of the page and can be clicked through by users. This type of advertising works best when used together with other types of online marketing strategies, such as search engine optimization (SEO).
  • Amazon’s OTT advertising works by displaying ads based on what people are searching for online.

Amazon OTT Advertising, also called amazon digital brand advertising, works by targeting users based on their interests, browsing history, and other factors. This allows you to create customized messaging that will resonate with them. The best part is that you don’t have to pay a fee if they don’t click through or buy anything after viewing your ad.

Types of Amazon OTT advertising

Amazon offers three types of OTT advertising:

Skippable In-Stream Ads: Serve 15 or 30-second ads before, during, or after video content. These ads can be skipped by viewers if they choose.

Non-Skippable In-Stream Ads: Serve 15 or 30-second ads before, during, or after video content. These ads cannot be skipped by viewers.

Sponsored Display Ads: Serve display ads based on Amazon browsing and shopping activity. These ads can appear across the web on sites that allow Amazon to serve them.

Amazon OTT Advertising plans

When you advertise with OTT, it’s like having a channel for your products or brand. You choose what shows you want your ads to run on to target your ideal audience. You can even choose when you want your ads to run, so they are displayed at the most effective times.

Choosing the right plan will help you reach your audience effectively. There are four types of plans available that range from $15-$35 per day:

Reach & frequency

This guarantees a certain number of impressions over a certain period of time, such as 250,000 impressions over 30 days.

One-day spot

These are specific one-day ad placements that are not recurring

Weekly spot

These are specific weekly ad placements that are not recurring

TV targeting

This requires more data about your target audience

What is the key difference between amazon seller central advertising and OTT advertising?

Amazon has several branches of advertising that can be used to put your product in front of the eyes of shoppers:

  • Amazon Seller Central
  • Amazon Marketing Services (AMS)
  • Amazon OTT.

Amazon Seller Central and AMS are similar. You can place ads on search result pages, and you pay for the ad when a shopper clicks on your ad or chooses to view more information about your product. These ads appear across the Amazon marketplace, on desktop and mobile devices.

OTT, on the other hand, is a new service from Amazon that allows you to advertise your products through streaming media like Roku, Hulu, Prime Video, etc. The way this works is that your ads will be shown alongside TV shows and movies that target an audience similar to the one you want for your product. The ads are customizable, so you can make them fit in with the look and feel of different streaming services. You don’t have to pay for this type of advertising up-front; instead, you only have to pay if someone clicks on your ad to learn more about it.

OTT Advertising and PPC advertising Amazon

Amazon OTT Advertising is a way that content creators can monetize their videos on Amazon. It’s similar to PPC advertising, but instead of charging per click, you pay per view. In other words, you offer viewers an incentive to watch your video, and they get charged every time someone watches it.

Amazon OTT advertising works in tandem with PPV advertising on Amazon’s digital platforms. PPV advertising allows advertisers to place ads on specific pages or products based on user behavior and browsing history. With this information, you can create highly-targeted campaigns that run on a cost-per-view (CPV) basis instead of just pay-per-click (PPC)

Benefits of OTT advertising

OTT advertising has several key benefits over traditional forms of advertising:

  • OTT allows you to target specific audiences based on their interests and demographics. This allows you to reach your ideal customer with precision.
  • As users are opting in to these ads voluntarily, they are much cheaper than other forms of advertising like radio or television spots. This makes them ideal for small businesses that need to get their message out without breaking the bank.
  • You can reach Prime Video users directly.
  • Your ads will be displayed in pre-roll and mid-roll video ad slots, which means that they’ll be seen by more people than if they were just displayed as banner ads.
  • You don’t have to worry about optimizing your content for different devices because all devices are compatible with Amazon OTT Advertising.
  • It allows marketers to target specific audiences based on their interests, purchase intent, and demographics.
  • It allows marketers to reach users who have opted in for targeted ads.
  • It ensures that ads aren’t disruptive to consumers.

Conclusion

OTT Advertising is here to stay and will be useful in the coming years to consumers, business owners, and investors. All that you need to know is that Amazon is at the forefront of the industry. Although there are certain risks to this, they are outweighed by the many benefits it brings.

It is quickly gaining popularity as a new source of reaching users. It’s one of the fastest-growing ways for advertisers to let people know about their products and gain brand recognition.

FAQs

1. What is API advertising?

API advertising is a form of digital advertising that allows advertisers to reach users on third-party platforms without having to worry about the logistics of creating content.

2. What is Amazon’s advertising strategy?

Amazon’s advertising strategy is focused on three things: increasing its brand awareness, driving customers to its site, and increasing conversion rates. Amazon’s advertising strategy is to provide advertisers with the tools they need to create ads that are effective and engaging. This includes a self-service interface, which allows companies to create ads using their own content, and also an A/B testing feature where a company can test multiple versions of an ad to see which performs best.

3. What does OTT mean for advertising?

OTT is a new technology that allows advertisers to gather data from the people who engage with their ads. This can help advertisers to better target their advertisements and create more effective campaigns.

It’s also worth noting that OTT is not just for advertisers. It’s designed to benefit both sides of the equation: users and advertisers alike.

4. Is OTT advertising effective?

Amazon OTT advertising is a highly effective way to reach viewers who have cut the cord and don’t watch television as it’s traditionally delivered. OTT services include Netflix, Amazon Prime Video, Hulu, and HBO Now. According to Statista’s figures for 2018, there are about 200 million OTT subscribers worldwide. This means that any company interested in reaching consumers with its advertising needs to consider this growing market segment and how best to reach them through OTT channels.

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Zeeshan Riaz

With education and experience in IT. Law and E-commerce industry, I have successfully helped more than 250 E-commerce businesses worldwide to reduce their operational cost with cutting edge eCommerce Marketing Services. I do manage a team of more than 250 people team which includes Amazon, eBay, Shopify, website development, SEO and SMM experts.

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